Discounted Cash Flow (DCF) Analysis Levered
Becton, Dickinson and Company (BDX)
$251.5
+2.00 (+0.80%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 15,983 | 17,290 | 17,117 | 20,248 | 18,870 | 19,750.43 | 20,671.93 | 21,636.43 | 22,645.94 | 23,702.54 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 2,865 | 3,328 | 3,539 | 4,647 | 2,471 | 3,708.89 | 3,881.94 | 4,063.06 | 4,252.64 | 4,451.05 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -895 | -957 | -810 | -1,231 | -973 | -1,070.58 | -1,120.53 | -1,172.81 | -1,227.54 | -1,284.81 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 1,970 | 2,371 | 2,729 | 3,416 | 1,498 | 2,638.31 | 2,761.41 | 2,890.25 | 3,025.10 | 3,166.25 |
Weighted Average Cost Of Capital
| Share price | $ 251.5 |
|---|---|
| Beta | 0.565 |
| Diluted Shares Outstanding | 292.09 |
| Cost of Debt | |
| Tax Rate | 8.30 |
| After-tax Cost of Debt | 2.48% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 6.411 |
| Total Debt | 14,763 |
| Total Equity | 73,460.38 |
| Total Capital | 88,223.38 |
| Debt Weighting | 16.73 |
| Equity Weighting | 83.27 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 15,983 | 17,290 | 17,117 | 20,248 | 18,870 | 19,750.43 | 20,671.93 | 21,636.43 | 22,645.94 | 23,702.54 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 2,865 | 3,328 | 3,539 | 4,647 | 2,471 | 3,708.89 | 3,881.94 | 4,063.06 | 4,252.64 | 4,451.05 |
| Capital Expenditure | -895 | -957 | -810 | -1,231 | -973 | -1,070.58 | -1,120.53 | -1,172.81 | -1,227.54 | -1,284.81 |
| Free Cash Flow | 1,970 | 2,371 | 2,729 | 3,416 | 1,498 | 2,638.31 | 2,761.41 | 2,890.25 | 3,025.10 | 3,166.25 |
| WACC | ||||||||||
| PV LFCF | 2,230.93 | 2,208.05 | 2,185.41 | 2,163.01 | 2,140.83 | |||||
| SUM PV LFCF | 12,221.10 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.75 |
| Free cash flow (t + 1) | 3,229.57 |
| Terminal Value | 86,121.87 |
| Present Value of Terminal Value | 65,119.58 |
Intrinsic Value
| Enterprise Value | 77,340.68 |
|---|---|
| Net Debt | 13,757 |
| Equity Value | 63,583.68 |
| Shares Outstanding | 292.09 |
| Equity Value Per Share | 217.69 |